APPLICATION OF FUNDS AFTER EVENT OF DEFAULT Clause Samples
The 'Application of Funds After Event of Default' clause defines how any funds received by the lender or agent are to be distributed following a default by the borrower. Typically, this clause sets out a specific order of priority for applying recovered amounts, such as first to cover costs and expenses, then to accrued interest, and finally to principal repayment. By establishing a clear hierarchy for the allocation of funds, this clause ensures that all parties understand how recoveries will be handled in a default scenario, thereby reducing disputes and providing predictability in the event of borrower insolvency or non-payment.
APPLICATION OF FUNDS AFTER EVENT OF DEFAULT. If any Event of Default shall occur and be continuing, then notwithstanding anything to the contrary in this Section or elsewhere, Lender shall have all rights and remedies available under applicable law and under the Loan Documents. Without limitation of the foregoing, for so long as an Event of Default exists, Lender may apply any and all funds in the Deposit Account, and/or any Sub-Accounts against all or any portion of any of the Obligations, in any order.
APPLICATION OF FUNDS AFTER EVENT OF DEFAULT. If any Event of Default shall occur and be continuing, then notwithstanding anything to the contrary in this Section or elsewhere, Lender shall have all rights and remedies available under applicable law and under the Loan Documents. Without limitation of the foregoing, for so long as an Event of Default exists, Lender may apply any and all funds held by or on behalf of Lender, including but not limited to Reserves, Receipts in the Deposit Account, the Central Account (except as otherwise provided in the Cash Management Agreement with respect to Third Party Receipts), the Cash Trap Reserve Sub Account, the Advance Rents Reserve Sub-Account, the Imposition and Insurance Reserve Sub-Account, the Loss Proceeds Reserve Sub-Account and any other Accounts or Sub-Accounts against all or any portion of any of the Obligations, in any order, provided that any payments applied to interest or principal of the Loan shall be made in accordance with the priority set forth in items (iii) and (ix) through (xi) of Section 3.3(a) of the Cash Management Agreement and that payments applied to Advances and Additional Servicing Compensation shall be made subject to the terms of the Trust Agreement.
APPLICATION OF FUNDS AFTER EVENT OF DEFAULT. If any Event of Default shall occur and be continuing, then notwithstanding anything to the contrary in this Section or elsewhere, Lender shall have all rights and remedies available under applicable law and under the Loan Documents. Without limitation of the foregoing, for so long as an Event of Default exists, Lender may apply any and all Receipts in the Deposit Account, the Lock Box Account, the Cash Trap Reserve Sub-Account, the Acquisition Reserve and any other Accounts or Sub-Accounts against all or any portion of any of the Obligations, in any order.
APPLICATION OF FUNDS AFTER EVENT OF DEFAULT. If an Event of Default shall occur and be continuing, then notwithstanding anything to the contrary in this Article III, the Servicer (acting on behalf of the Indenture Trustee) shall have all of the rights and remedies of the Indenture Trustee available under applicable law and under the Transaction Documents. Without limitation of the foregoing, for so long as an Event of Default exists, the Indenture Trustee (solely at the direction of the Servicer) shall apply any and all funds in the Collection Account, the Cash Trap Reserve Sub-Account and any other Accounts, Sub-Accounts, and all other cash reserves held by or on behalf of the Indenture Trustee against all or any portion of any of the Obligations; provided, however, that any such payments in respect of amounts due on the Notes will be made in accordance with the priorities set forth in Article V. The provisions of this Section are subject to the provisions of Section 11.01(a).
APPLICATION OF FUNDS AFTER EVENT OF DEFAULT. If any Event of Default shall occur and be continuing, then notwithstanding anything to the contrary in this Section or elsewhere, Lender shall have all rights and remedies available under applicable law and under the Loan Documents. Without limitation of the foregoing, for so long as an Event of Default exists, Lender may apply any and all funds in the Deposit Account, the Lock Box Account, the Jekyll Island Lock Box Account, and/or any Sub-Accounts against all or any portion of any of the Obligations, in any order.
APPLICATION OF FUNDS AFTER EVENT OF DEFAULT. If any Event of Default shall occur and be continuing, then notwithstanding anything to the contrary in this Section or elsewhere, Lender shall have all rights and remedies available under applicable law and under the Loan Documents. Without limitation of the foregoing, for so long as an Event of Default exists, Lender may apply any and all funds in the Deposit Account, the FF&E Reserve, the Lock Box Account, the Hazardous Materials Remediation Reserve Sub-Account, the Extraordinary Receipts Sub-Account, the Cash Trap Reserve Sub-Account and/or any Sub-Accounts against all or any portion of any of the Obligations, in any order.
APPLICATION OF FUNDS AFTER EVENT OF DEFAULT. If any Event of Default shall occur and be continuing, then notwithstanding anything to the contrary in this Section or elsewhere, subject, however, to Section 17.8, Collateral Agent or the Backup Servicer, as Successor Servicer, as applicable, shall have all rights and remedies available under applicable law and under the Finance Documents. Without limitation of the foregoing, for so long as an Event of Default exists for the Company, Collateral Agent on behalf of the Holders or acting at the direction of the Backup Servicer as Successor Servicer, as applicable, shall apply any and all funds of the Company held by it on behalf of the Secured Parties (which, if the Backup Servicer is the Successor Servicer, shall be at the direction of the Successor Servicer), including but not limited to the Escrow Account, Reserve, Receipts in the Lock-Box Account, the Collection Account, and any other Accounts or Sub-Accounts related to the Company against all or any portion of any of the Company’s Obligations, first, pursuant to Section 2.5(B)(i) (in accordance with the Monthly Report provided to it by the Servicer or the Successor Servicer, as applicable) and thereafter at the written direction of the Majority Holders (but to the extent applied to any interest or principal, pro rata, with respect to the Holders; provided that any interest payable on the Promissory Certificates that has accrued due to application of the Default Rate shall not be paid until the outstanding principal amount of the Promissory Certificates has been paid in full); provided that, so long as any Servicing Advances or Servicing Advance Interest are outstanding, the Backup Servicer, in its role as Successor Servicer, shall have the right (which, in the case of conflicting exercise at such time among the Successor Servicer, the Collateral Agent and/or the Majority Holders, shall govern) to direct the Collateral Agent to exercise the remedies set forth in Article VIII for its benefit (above the rights of the Collateral Agent or the Majority Holder) with respect to an amount of Collateral such that liquidation or other exercise of any such rights or remedies with respect to such portion would be reasonably required to repay such Servicing Advance or Servicing Advance Interest. Any amounts received by the Backup Servicer in its role as Successor Servicer pursuant to the exercise of its rights under this Section 8.5 or Section 17.8 shall be deposited into the Collection Account for distribution by t...
APPLICATION OF FUNDS AFTER EVENT OF DEFAULT. If any Event of Default shall occur and be continuing, then notwithstanding anything to the contrary in this Section or elsewhere, the Lender shall have all rights and remedies available under applicable ‑87‑ law and under the Loan Documents. Without limitation of the foregoing, for so long as an Event of Default exists, the Lender may apply any and all funds held by or on behalf of the Lender, including but not limited to Reserves, Receipts in the Deposit Account, the Central Account, the Cash Trap Reserve Sub Account, the Advance Rents Reserve Sub‑Account, the Imposition and Insurance Reserve Sub‑Account, the Loss Proceeds Reserve Sub‑Account and any other Accounts or Sub‑Accounts against all or any portion of any of the Obligations, in any order, provided that any payments applied to interest or principal of the Loan shall be made in accordance with the priority set forth in items (iii) and (ix) through (xi) of Section 3.3(a) of the Cash Management Agreement.
APPLICATION OF FUNDS AFTER EVENT OF DEFAULT. If any Event of Default shall occur and be continuing, then notwithstanding anything to the contrary in this Section or elsewhere, Lender shall have all rights and remedies available under applicable law and under the Loan Documents. Without limitation of the foregoing, for so long as an Event of Default exists, Lender may apply any and all funds in the Central Account and/or any Sub-Accounts against all or any portion of any of the Obligations, in any order.
APPLICATION OF FUNDS AFTER EVENT OF DEFAULT. All moneys received by the Trustee pursuant to any right given or action taken under the provisions of this Article V or Article IX of the Lease Agreement shall be applied by the Trustee in the order following upon presentation of the several Bonds, and the stamping thereon of the payment if only partially paid, or upon the surrender thereof if fully paid - First, to the payment of the costs and expenses of the Trustee in declaring such Event of Default, including reasonable compensation to its agents, attorneys, consultants and counsel and any fees and expenses due or owing the Trustee; and Second, to the payment of the whole amount then owing and unpaid with respect to the Bonds for principal and interest and in case such moneys shall be insufficient to pay in full the whole amount so owing and unpaid with respect to the Bonds, then to the payment of such principal and interest without preference or priority of principal over interest, or of interest over principal, or of any installment over any other installment of interest, ratably to the aggregate of such principal and interest.